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April 22, 2014 - Presented to: Assembly Budget Subcommittee No. 2 on Education Finance
April 11, 2014 - Due to a combination of poor budgeting practices and competing funding priorities, all of the state's education segments currently have a backlog of deferred maintenance projects. The Governor’s budget includes a package of proposals to begin addressing this backlog. While we commend the administration for highlighting deferred maintenance as a problem, we have concerns with the Governor's specific proposals and recommend the Legislature consider various alternatives. Looking beyond 2014-15, we believe the state should have a long-term strategy for properly maintaining education facilities. While a one-size-fits-all response very likely is not appropriate for such a diverse array of education segments, segment-specific plans likely could be very helpful. To this end, we recommend the Legislature require the education segments to develop plans that detail how much they set aside annually for scheduled maintenance, how they plan to eliminate their existing deferred maintenance backlogs over the next several years, and how they plan to avoid creating new backlogs thereafter. (In contrast to the other segments, we believe the state should not impose additional maintenance requirements on elementary and secondary schools at this time. The different approach for schools acknowledges the state’s recent decision to shift fiscal decision making and accountability for many aspects of schools’ operations—including maintenance—to the local level.)
April 7, 2014 - To be presented to: Assembly Budget Subcommittee No. 2 on Education Finance
April 3, 2014 - Presented to: California Association of Chief Business Officers
March 28, 2014 - In this report, we analyze the Governor's two main 2014-15 budget proposals for the Commission on Teacher Credentialing (CTC). The Governor proposes to allow CTC to transfer revenue from its test fee account to its primary budget account to help cover cash shortfalls midyear. The Governor also proposes to expand CTC's fee authority by allowing it to begin charging fees for the regular activities it undertakes in accrediting existing teacher preparation programs. Although the Governor's proposal to allow 60-day fund transfers among accounts would provide some cash relief, we recommend the Legislature instead consolidate CTC's revenues into a single, combined account. We also recommend the Legislature work with the administration and CTC to refine budget documents such that fee revenues can be more easily linked with associated expenditures. Additionally, we recommend the Legislature adopt the Governor's proposal to expand accreditation fees, as it is consistent with prior state actions that aim to keep CTC self-supporting. We are concerned, however, that the Governor's proposal does not make any changes to CTC's current costly, labor-intensive accreditation process. We recommend the Legislature require CTC to streamline its process to ensure (1) teacher preparation program standards are clear, concise, and aligned to state academic content standards; (2) accreditation incorporates data on program outcomes; and (3) accreditation is self-supporting.
March 27, 2014 - In this report, we assess the Governor's proposal to provide state funds for the California State Library to contract with the Corporation for Education Network Initiatives in California (CENIC) in an effort to increase Internet speeds at local libraries. We find that the Governor’s plan is unlikely to increase speeds at many libraries and lacks adequate cost information. We recommend the Legislature reject the Governor’s proposal and instead focus on improving existing state programs designed to increase Internet speeds for libraries as well as other entities.
March 20, 2014 - Presented to Assembly Budget Subcommittee No. 2 on Education Finance
March 18, 2014 - Presented to Assembly Budget Subcommittee No. 2 on Education Finance
March 18, 2014 - Presented to Senate Committee on Agriculture
March 6, 2014 - Presented to Senate Budget and Fiscal Review Subcommittee No. 2 on Education
March 4, 2014 - Presented to: Assembly Budget Subcommittee No. 2 on Education Finance
March 4, 2014 - Presented to Assembly Budget Subcommittee No. 2 on Education Finance
February 26, 2014 - Traditionally, the state has reimbursed local educational agencies (LEAs) for performing mandated activities by requiring them to submit detailed documentation of their costs. In recent years, the state has tried to simplify this process by creating two alternative reimbursement structures. The reasonable reimbursement methodology (RRM) provides reimbursement for a particular mandate using a formula developed in a quasi-judicial forum. The education mandates block grants (one for schools and one for community colleges) provide reimbursement for all active education mandates using a per-student rate established in the budget. Whereas the rarely used RRM process has been very adversarial (once involving litigation) and resulted in long reimbursement delays, nearly all LEAs have chosen to participate in the block grants. Given their overlapping purposes and the comparative advantages of the block grants, we recommend the Legislature repeal the RRM for education mandates.
February 25, 2014 - Presented to: Assembly Budget Subcommittee No. 2 on Education Finance
February 25, 2014 - In 2013-14, the Legislature undertook a major restructuring of school finance but retained the state’s Home-to-School Transportation (HTST) program. Recognizing the need for additional reform, the Legislature asked our office to make recommendations for improving the state’s approach to funding school transportation. The state’s existing approach for allocating HTST funding is widely recognized as outdated and irrational. Given the problems with the state’s existing funding approach, we recommend the Legislature replace it with one of three alternatives. In the report, we describe and assess the trade-offs of the following three options: (1) fund transportation services within the new Local Control Funding Formula; (2) create a new, targeted program to help districts that face extraordinarily high transportation costs; and (3) create a broad-based program whereby the state pays a share of each district’s transportation costs. Any of the three options would be a notable improvement over the state’s current approach.